GroupM has just released its final numbers for 2012 which show that global measured media spending reached $490 billion. The firm is also revising down its projection for 2013. However, 2014 looks brighter for media companies as the 2014 Winter Olympics will be underway in February.
Earlier this year, GroupM analysts thought that global ad spending would rise 4.5% this year. Based on general economic activity, they have now revised that number to 3.4%. In the U.S., advertisers will likely boost their spending on measured media by 1.8%, to $156 billion. The news is better for 2014 when the expected spending increase will be 2.9%.
According to GroupM, the Eurozone continues to drag down spending on advertising. The rapid growth in China and Russia, are fueling marketing expenditures to help offset the economic woes in other parts of the world.
Digital remains a reliable growth category. The format will account for 19% of measured media spending or a total of $95 billion. Next year, that number should rise to 20%.
Rino Scanzoni, GroupM’s Chief Investment Officer for North America, notes that the Winter Olympics will generate excitement and ad spending early in 2014. GroupM Futures Director Adam Smith also points out that some of the growth in ad spending that is taking place in China and Russia is being fueled by Western advertisers.
If you're working with marketers on their plan for next year, remind them that targeting Olympics sports fans can help improve branding and sales.
To learn more about Olympics sports fans, check out the AudienceSCAN report available on the Research Store at ad-ology.com.